The East Indian Railway Company, operating as the East Indian Railway (reporting mark EIR), introduced railways to East India and North India, while the Companies such as the Great Indian Peninsula Railway, South Indian Railway, Bombay, Baroda and Central India Railway and the North-Western Railway operated in other parts of India. The company was established on 1 June 1845 in London by a deed of settlement with a capital of £4,000,000, largely raised in London.
1845–1849
The first board of directors formed in 1845 comprised thirteen members and Rowland Macdonald Stephenson became the first managing director of the company.
Rowland Macdonald Stephenson (later Sir Rowland, but familiarly known as Macdonald Stephenson) and three assistants travelled from England in 1845 and "with diligence and discretion" surveyed, statistically studied and costed the potential traffic for a railway route from Calcutta (the then commercial capital of India) to Delhi via Mirzapur. They assessed that the maximum cost of a twin-track line would not exceed £15000 per mile if the land was available without charge. The East Indian Railway Company was then formed and raised money in London. A contract was signed between the East India Company and the East Indian Railway Company on 17 August 1849, entitling the latter to construct and operate an "experimental" line between Calcutta and Rajmahal, long at an estimated cost of £1 million which would be later extended to Delhi via Mirzapur.
1850–1851
On 7 May 1850, the East Indian Railway Company's managing director Macdonald Stephenson, George Turnbull, the company's Chief Engineer, and the engineer Slater made an initial survey from Howrah (across the River Hooghly from Calcutta) to Burdwan on the route to the Raniganj coalfields. By June, there was an impasse, in that the government did not allow Turnbull and his engineers to mark a route on the ground. Specifications for works were however advertised on 1 July and tenders received on 31 July for six contracts. Bamboo towers tall were then built above the palm trees at Serampore and Balli Khal to set out the line.
1851–1853
On 29 January 1851 the East Indian Railway Company took possession of its first land. Turnbull and other British engineers began detailed surveys of the line. They chose the critical crossing point on the Son River (the largest Ganges tributary) on 17 February. The best route to Raniganj was determined in May and June. The plans for Howrah station were submitted on 16 June.
Tenders for 11 contracts arrived on 31 October 1851. In December Turnbull continued his survey: he took levels and defined the line from Burdwan to Rajmahal.
Infrastructure
All permanent way and rolling stock was transported from Britain in sailing ships to Calcutta via the Cape of Good Hope (the Suez Canal did not then exist). In April 1854, it was estimated that over 100,000 tons of rails, 27,000 tons of chairs, and some 8000 tons of keys, fish-plates, pins, nuts and bolts were needed.
Rolling stock
By 1859, there were 77 engines, 228 coaches and 848 freight wagons. By the end of 1877 the company owned 507 steam locomotives, 982 coaches and 6,701 goods wagons. In 1900 the wagon stock was under 14,000 wagons, in 1905 it was over 17,000 wagons.
In 1907 five steam railcar from Nasmyth, Wilson and Company was purchased.
Sleepers
Although immense quantities of sal tree wood for sleepers were delivered from Nepal, yet more were needed. So fir sleepers from the Baltic were creosoted in England and shipped to India.
Bridges
The initial plans were for the many bridges over the Ganges tributaries to be built of bricks: hundreds of millions were needed. Brick-making skills were very limited and often the available clay was found to be unsuitable. Transport by river of suitable clay was difficult. Brick availability became a major problem, so the decision was made to use vast quantities of ironwork – imported from England as India had no iron works at that time. Much ironwork was stolen during the Indian Rebellion of 1857.
Construction work of Old Yamuna Bridge in Delhi started in 1863 which was popularly known as lohe ka pool(bridge made by iron) and completed in 1866. It is a 12 spanned bridge. The construction cost of the bridge was Rs 16,16,335/- Initially it was made as a single railway track but was upgraded to double track in 1913